You can record adjustment in reversal of tax in Kerala using the option Stat Adjustment in journal voucher.
To record journal voucher for reversal of tax
1. Go to Gateway of Tally > Accounting Vouchers > F7: Journal .
Note: You can create a journal voucher from Gateway of Tally > Display > Statutory Reports > VAT > select the VAT form.
2. Click J : Stat Adjustment .
o Select the option VAT in the Type of Duty/Tax field.
o Select the option Reversal of Input Tax in the Nature of Adjustment field.
o Press Ctrl+A to return to the voucher creation screen.
3. Debit expense ledger grouped under Indirect Expenses and enter the value in the amount field.
4. Credit the VAT ledger created under the group Duties and Taxes with the option Use for Purchase Tax? disabled.
5. Enter the amount in the Credit field, excluding cess.
6. Credit the common cess ledger.
7. Enter the Rate , Assessable Value , Commodity Name and Commodity Code in the VAT Details screen, and press Enter . The journal voucher appears as shown below:
8. Press Enter to save.